Credit Cards: What I Learned From Not Having It

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I have been credit card free for more than a year already. I can still clearly remember the time that I have five of those shiny plastics in my wallet. I know it was my mistake why I accumulated debt. I simply was not able to control my expenses and I use these cards a lot. For quite some time, I struggled. I struggle my credit card debts and the annual fees to pay for the five credit cards that amount to a lot. Plus, the bulk of my salary literally goes to my credit card payments. I know there are positive things that a credit card can do yet today, I am proud of not having one anymore.

Getting used to not having a card is pretty much a mess as I start. Since shopping for me equates card, whenever I went to the mall, it was really a pain not having the plastic for swiping purposes. However, since I don’t have it anymore, it eventually taught me valuable lessons which I would like to share here.

Lesson 1: Frugality

When my credit cards are still in my wallet, I was really not frugal at all. Simply imagine me going to the malls having it. When I found something I like especially when I pass a stall, can’t help but try it and buy it instantly. Going to luxurious restaurants was not a problem too since I have my cards with me. And what about the credit card instalment option? I claimed it and I seized it before like a kid in a candy store. As a matter of fact, my phone is a product of a credit card instalment and even my usual gift shopping to my family and friends. Since not having it and owning it, I tend to be frugal in shopping. I see to it that the things I will buy are really the ones I need. I don’t go overboard with my spending since I know I am using cash instead of cards. It drive me to assess my purchases every now and then and to spend within the scope of my cash and budget.

Lesson 2: Value of No Debt

Since credit cards entail credit or debt, we cannot deny that sooner or later we are bound to pay for what we owe. There was a time in my life when I was not able to pay my cards at all. Hence, the credit card company constantly calls me almost every hour asking me when I can pay for my bills. Even if I just put my phone to silent mode, they are still calling me many times a day. They even called my office. That is where I realize how great and free not having debts is. No more calls asking you to pay and even more, your future salary or income is intact because you don’t have a debt to pay in the future.

Lesson 3: Budget

Having no credit card really taught me how to budget my money. It was indeed an eye-opener how important having a budget is. I don’t deprive myself of spending my money in great mall finds however I always see to it that it is still in the scope of my budget. Before, when I still have cards, I just squander money not minding how much is my debt in total. Then I would be surprise when I see my credit card bill with this huge amount. Without cards, was able to finally establish a budget and work my way from  there.

Without credit cards, it was like a realization for me. It is pretty hard to spend especially if you have cash instead of cards. No wonder my spending skyrocketed when I had those cards. Now, I am cringing on stuffs and items and find cheaper alternatives to almost everything. It taught me the value of frugality, appreciate no debt and having a budget. And now, I am more than happy without it. 

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